Production for the three months ended June 30, 2016 averaged 35,879 barrels of oil equivalent per day (Boe/d). Production was comprised of 77% oil, 11% natural gas liquids (NGLs) and 12% natural gas for the quarter. The Company shut-in approximately 5,000 Boe/d of net production during the second quarter due to low commodity prices.

Halcón generated total revenues of $106.1 million for the second quarter of 2016. In addition, Halcón realized a net gain on settled derivative contracts of $80.8 million during the quarter.

Excluding the impact of hedges, Halcón realized 87% of the average NYMEX oil price, 20% of the average NYMEX oil price for NGLs and 70% of the average NYMEX natural gas price during the second quarter of 2016.

Total operating costs per unit were $21.40 per Boe during the second quarter. After adjusting for selected items, total operating costs per unit (see Selected Operating Data table for additional information), were $17.43 per Boe and $17.02 per Boe for the three and six months ended June 30, 2016, respectively, an 8% decline from the six month period ended a year earlier.

Halcón reported a net loss available to common stockholders of $382.4 million, or $3.17 per diluted share for the second quarter. After adjusting for selected items primarily related to a non-cash, pre-tax full cost ceiling impairment charge and a non-cash, pre-tax unrealized loss on derivative contracts (see Selected Item Review and Reconciliation table for additional information), net income was $37.7 million, or $0.26 per diluted share for the second quarter of 2016.

Restructuring Update

As previously announced, the Company has filed for an accelerated pre-packaged bankruptcy under Chapter 11 of the bankruptcy code to affect a comprehensive balance sheet restructuring. Halcón anticipates emerging from bankruptcy 45 to 60 days from the date of filing. The Company expects its common shares to continue to be listed on the NYSE during bankruptcy although no assurance can be made that this will be the case. Halcón plans to operate as usual during the restructuring process and will continue to pay all royalty owners, suppliers and vendors in full consistent with normal terms.

Liquidity and Capital Spending

As of June 30, 2016 Halcón’s liquidity was approximately $373 million, which consisted of $450 million of revolver availability less $101 million drawn on the revolver plus $24 million in cash and cash equivalents. The Company agreed to limit the availability under its revolving credit facility from $700 million to $450 million as part of the waiver agreement it executed with its bank group on May 26, 2016. The Company has a commitment from its bank group, led by JP Morgan and Wells Fargo, for a $600 million debtor in possession credit facility (the “DIP”) with $500 million of availability once the interim order approving the DIP is received from the bankruptcy court. The DIP will convert to a reserve-based revolving credit facility with $600 million in availability upon its exit from bankruptcy.

During the second quarter of 2016, the Company incurred capital costs of $43 million on drilling and completions, and $1 million on infrastructure, seismic and leasehold acquisitions. In addition, Halcón incurred $24 million for capitalized interest, G&A and other in the second quarter.

Hedging Update

Halcón has 22,000 barrels per day of oil hedged for the last six months of 2016 at an average price of $81.44 per barrel. For 2017, the Company has 3,750 barrels per day of oil hedged at an average price of $65.75 per barrel. Halcón estimates the pre-tax mark-to-market value of its hedge portfolio to be approximately $162 million as of July 27, 2016.

Operations Update

The Company is currently running 1 operated rig in the Fort Berthold area of the Williston Basin and plans to keep this rig running through the remainder of 2016. Halcón has no other operated rigs running and the Company does not plan additional rigs until oil prices improve. The Company currently has 12 wells in the Bakken being completed or waiting on completion. Halcon also recently commenced completion operations on two wells in its Tuscaloosa Marine Shale area that were drilled in 2015.

Bakken/Three Forks

The Company operated an average of 1 rig in the Williston Basin during the second quarter of 2016.

Halcón spudded 4 wells and put 13 wells online in the Fort Berthold area of the Williston Basin during the three months ended June 30, 2016. The Company did not participate in any non-operated wells during the quarter. Production averaged 25,633 Boe/d during the second quarter of 2016 in the Williston Basin.

Halcón currently has working interests in approximately 119,000 net acres prospective for the Bakken and Three Forks formations in the Williston Basin, substantially all of which is held by production (HBP). With one operated rig running, the Company plans to spud 10 to 15 gross operated wells over the remaining six months of 2016 with an average working interest of approximately 68%. Halcón also expects to participate in 15 to 20 gross non-operated wells over the last six months of 2016 with an average working interest of approximately 5%. Halcón expects operated wells put online over the remainder of 2016 to have an average EUR of approximately 900 MBoe. Current operated drilling and completion costs are $6.2 million in FBIR and $5.7 million in Williams County.

The Company is currently the operator of 214 producing Bakken wells and 68 Three Forks wells.

"El Halcón" - East Texas Eagle Ford

The Company did not run an operated rig in El Halcón during the second quarter of 2016.

Halcón put 3 wells online in the El Halcón area during the second quarter. Production averaged 7,900 Boe/d during the second quarter of 2016 in El Halcón.

Halcón currently has working interests in approximately 83,000 net acres prospective for the Eagle Ford formation in East Texas, approximately 79% of which is HBP. The Company currently operates 112 El Halcón wells. Halcón anticipates adding a rig back to this area when oil prices improve.

About Halcón Resources

Halcón Resources Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States.

For more information contact Quentin Hicks, Senior Vice President of Finance & Investor Relations, at 832-538-0557 or qhicks@halconresources.com.

Forward-Looking Statements

This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Statements that are not strictly historical statements constitute forward-looking statements and may often, but not always, be identified by the use of such words such as "expects", "believes", "intends", "anticipates", "plans", "estimates", "potential", "possible", or "probable" or statements that certain actions, events or results "may", "will", "should", or "could" be taken, occur or be achieved. Forward-looking statements are based on current beliefs and expectations and involve certain assumptions or estimates that involve various risks and uncertainties that could cause actual results to differ materially from those reflected in the statements. These risks include, but are not limited to, the ability to confirm and consummate a plan of reorganization in accordance with the terms of the restructuring support agreement; risks attendant to the bankruptcy process, including the effects thereof on the Company’s business and on the interests of various constituents, the length of time that the Company might be required to operate in bankruptcy and the continued availability of operating capital during the pendency of such proceedings; risks associated with third party motions in any bankruptcy case, which may interfere with the ability to confirm and consummate a plan of reorganization, potential adverse effects on the Company's liquidity or results of operations; increased costs to execute the reorganization, effects on market price of the Company's common stock and on the Company's ability to access the capital markets, and the risks set forth in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2015 and other filings submitted by the Company to the SEC, copies of which may be obtained from the SEC's website at www.sec.gov or through the Company's website at www.halconresources.com. Readers should not place undue reliance on any such forward-looking statements, which are made only as of the date hereof. The Company has no duty, and assumes no obligation, to update forward-looking statements as a result of new information, future events or changes in the Company's expectations.

Average prices computed after cash effect of settlement of derivative contracts:

Crude oil (per Bbl)

$

71.86

$

81.18

$

68.60

$

77.77

Natural gas (per Mcf)

1.52

3.07

1.58

3.17

Natural gas liquids (per Bbl)

9.22

11.68

6.97

11.79

Total per Boe

57.13

68.05

54.63

65.35

Average cost per Boe:

Production:

Lease operating

$

5.20

$

6.71

$

5.47

$

7.73

Workover and other

2.42

0.99

2.29

0.90

Taxes other than income

2.99

3.43

2.48

3.29

Gathering and other, as adjusted (1)

2.27

1.78

2.25

1.89

Restructuring

0.06

0.08

0.74

0.29

General and administrative, as adjusted (1)

4.55

4.60

4.53

4.77

Depletion

11.55

26.26

13.21

28.20

(1) Represents gathering and other and general and administrative costs per Boe, adjusted for items noted in the reconciliation below:

General and administrative:

General and administrative, as reported

$

7.57

$

6.03

$

9.66

$

6.17

Share-based compensation:

Non-cash

(0.46

)

(0.91

)

(0.53

)

(1.08

)

Transaction costs, key employee retention agreements and other:

Cash

(2.56

)

(0.52

)

(4.60

)

(0.32

)

General and administrative, as adjusted

$

4.55

$

4.60

$

4.53

$

4.77

Gathering and other, as reported

$

3.22

$

2.06

$

3.19

$

2.81

Rig termination / stacking charges

(0.95

)

(0.28

)

(0.94

)

(0.92

)

Gathering and other, as adjusted

$

2.27

$

1.78

$

2.25

$

1.89

Total operating costs, as reported

$

21.40

$

19.22

$

23.09

$

20.90

Total adjusting items

(3.97

)

(1.71

)

(6.07

)

(2.32

)

Total operating costs, as adjusted(2)

$

17.43

$

17.51

$

17.02

$

18.58

(2) Represents lease operating, workover and other expense, taxes other than income, gathering and other expense and general and administrative costs per Boe, adjusted for items noted in reconciliation above.

Cash flow from operations before changes in working capital, adjusted for selected items (4)

$

75,732

$

137,502

$

160,439

$

243,870

(1) Represents charges related to the write-off of debt issuance costs associated with decreases in the Company's borrowing base under its senior revolving credit facility.

(2) For the 2016 columns this represents tax impact using an estimated tax rate of 0.0% due to the Company maintaining a full valuation allowance.

For the 2015 columns this represents tax impact using an estimated tax rate of 37.04%. These columns also include an adjustment for the change in valuation allowance of $394.7 million and $604.0 million for the three and six months ended June 30, 2015, respectively.

(3) Net income (loss) and earnings per share excluding selected items and cash flow from operations before changes in working capital adjusted for selected items are non-GAAP measures. These financial measures are presented based on management's belief that they will enable a user of the financial information to understand the impact of these items on reported results.Additionally, this presentation provides a beneficial comparison to similarly adjusted measurements of prior periods. These financial measures are not measures of financial performance under GAAP and should not be considered as an alternative to net income, earnings per share and cash flow from operations, as defined by GAAP. These financial measures may not be comparable to similarly named non-GAAP financial measures that other companies may use and may not be useful in comparing the performance of those companies to Halcón's performance.

(4) The impact of selected items for the three months ended June 30, 2016 and 2015 was calculated based upon weighted average diluted shares of 144.5 million and 109.2 million, respectively, due to the net income available to common stockholders, excluding selected items.

The impact of selected items for the six months ended June 30, 2016 was calculated based upon weighted average diluted shares of 144.1 million due to the net income available to common stockholders, excluding selected items.